Conversion of a private company to LLP
LLP structure offers the benefits of both – a partnership and a company. Therefore, by converting the company to LLP, the business gains more operational flexibility. The characteristics of being a separate legal entity and limited liability remain the same. Further, the operations and management come directly in hands of the LLP partner(s) unlike in Private Company where it is with the director(s).
LLP is governed by the LLP Agreement executed by the Partners. It has lesser compliance requirements and it is easier to operate. It preserves the benefits of a partnership with providing security and credibility to a company. The conversion of Private limited to LLP must be followed by the approval of the Ministry by the online application providing necessary documents.
Benefits of converting Pvt. Ltd Company to LLP
Documents required to convert Private limited company to LLP
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Process of conversion into LLP
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